There are a number of things that businesses can do to reduce their COGS, such as: This will help you to track your costs and profitability effectively.īeginning Inventory Value: Ending Inventory Value: Total Inventory Purchases: Additional Direct Sales Costs: Calculate Reset This can be done by conducting a physical inventory count at the end of each period.īy following these tips, you can ensure that you are calculating COGS accurately.
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